Abstract: We describe a novel approach for tunable polarization mode dispersion (PMD) compensation using multi-layered thin-film dielectric reflectors. This design can compensate for both the first-order PMD and the second-order PMD in ultrahigh speed optical fiber communication systems. Built-in cavity layers constitute optical resonators localizing electromagnetic energy at a specific frequency in the cavity region and therefore generating dispersive reflection. The two principal states of polarization in this system, TE and TM modes, demonstrate different dispersion responses for oblique incidences, which can be readily tuned to offset the PMD accumulated in fiber links. Various schemes of dispersion generation could be designed using single-cavity cascading or with coupled multiple-cavity resonator structures.